1. If nominal wages and salaries are fixed as firms change product prices, the short-run aggregate..

1. If nominal wages and salaries are fixed as firms change product prices, the short-run aggregate supply curve (SRAS) is a. vertical. b. horizontal. c. negatively sloped. d. positively sloped. 2. An explanation for why the short-run aggregate supply curve is upward-sloping is because a. the quantity of real output supplied is inversely related to the aggregate supply curve.
b. nominal incomes are fixed.
c. the capital-output ratio.
d. an increase in price will increase the supply of money.